Upbit Secures Major Payment Institution License in Singapore

January 10, 2024

By Sharan Kaur Phillora

South Korean cryptocurrency exchange Upbit has recently marked a significant milestone in the rapidly evolving global crypto landscape. The exchange has successfully obtained a Major Payment Institution (MPI) license from the Monetary Authority of Singapore (MAS), joining the ranks of renowned exchanges such as Coinbase and Crypto.com.

This licensing is a critical step in Upbit’s expansion, allowing it to offer regulated digital payment token (DPT) services in Singapore under the city-state’s Payment Services Act.

Here’s what we know:

The journey to this achievement began in October last year when Upbit received in-principle approval from MAS. This initial step allowed the exchange to maintain its operational status while pursuing the comprehensive licensing process.

With the official grant of the MPI license, Upbit Singapore, established in 2018, is now poised to provide cutting-edge digital asset solutions to institutional and retail clients. This move indicates Singapore’s proactive approach to regulating cryptocurrencies as digital payment tokens, a stance that has earned it the reputation of being a world-leading crypto hub.

Upbit Singapore’s ties with Upbit Korea, one of South Korea’s largest exchanges, further reinforce its position in the digital asset market. As part of the Upbit APAC digital asset group, the exchange operates in sync with its sister platforms in Indonesia and Thailand, ensuring a harmonized approach in regulated digital asset offerings across the region.

Additionally, through its subsidiaries like VerifyVASP, Upbit APAC is actively engaged in global initiatives to foster crypto adoption while complying with anti-money laundering measures and combating the financing of terrorism within the digital asset sector.

The timing of Upbit’s full licensing in Singapore coincides with a period of heightened global anticipation, particularly in the context of the U.S. Securities and Exchange Commission’s potential approval of the first Spot Bitcoin ETF in the U.S. This parallel development underscores the strategic significance of Upbit’s expansion within the broader global market context.

Singapore’s commitment to regulatory clarity and technological advancement in cryptocurrencies has been a magnet for major exchanges seeking a stable and clear regulatory environment. This approach, focusing on innovations such as tokenized assets and programmable money over mere speculation, has established Singapore as a prime destination for crypto businesses.

About the author

Sharan Kaur Phillora’s thirst for knowledge has led her to study many different subjects, including NFTs and Blockchain technology – two emerging technologies that will change how we interact with each other in the future. When she isn’t exploring a new idea or concept, she enjoys reading literary masterpieces.

Translate Now